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Suppose Only Dues-Paying Members of a Private Outdoor Sports Club

Question 40

Multiple Choice

Suppose only dues-paying members of a private outdoor sports club can access a lake.Club members who are operating their jet skis on the lake disrupt the bass fishing of other club members.This example describes a ________.


A) positive externality in production
B) negative externality in production
C) positive externality in consumption
D) negative externality in consumption

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